MD Real Estate Practice Exam
Questions with 100% Correct
Answers
Which of these unlicensed assistants may NOT be compensated for their activities in
Maryland? - Answer- Michael, who shows properties when salesperson Janine is out of
town.
In Maryland, how many hours of approved real estate courses must an individual
complete before taking the real estate broker's exam? - Answer- 135
Roger is an unlicensed assistant in Dave's Maryland office. He performs tasks for
several of the firm's licensees. Katherine is a licensed assistant, and she performs tasks
for three of the firm's independent contractor licensees. The firm's broker, Michaela, has
her own licensed assistant. Which of these statements best represents Michaela's
liability for the acts of all these assistants? - Answer- Michaela is responsible for all
licensees and employees associated with the firm.
James is a real estate licensee in Maryland. A complaint has been brought against
James by the Commission on Civil Rights for a fair housing violation. Which of the
following is true? - Answer- James could be sanctioned by both the Commission on Civil
Rights and the real estate commission.
Justine's seller client needs to repair the property's roof, and Justine has recommended
a contractor to her. In addition to the contractor's name and the date that Justine verified
his registration with the Maryland Home Improvement Commission, what else does
Justine need to give her seller client? - Answer- The link to the Maryland Home
Improvement License Search on the DLLR website
In Maryland, the Protection of Homeowners in Foreclosure Act describes the role of and
sets guidelines for the actions of ______. - Answer- Foreclosure consultants
Sam is an independent contractor Maryland licensee working for B & L Realty. Since
Sam is an independent contractor, what supervisory responsibility does Sam's broker
have? - Answer- Sam is considered an employee for licensing law purposes, but he's
still an independent contractor for IRS purposes.
Jerome let his license expire four years ago when his wife had twins and he decided to
become a stay-at-home dad. Now that the twins have started preschool, Jerome would
, like to resume his real estate practice. What does he have to do in order to reinstate his
license? - Answer- His license has been expired too long. He has to start the pre-
licensing process from scratch.
Assuming that the following individuals only carry a real estate license, who is in
violation of the foreclosure consultation parameters set forth in PHIFA? - Answer- Clint's
former buyer client lost her home to foreclosure. When the lender filed a deficiency
judgment against her, Clint advised her how to proceed.
Which of the following statements about earnest money deposits is true? - Answer-
Earnest money must be placed in an escrow account within no more than seven
business days after the formation of the contract of sale.
Which of these parties would be eligible to be one of MREC's consumer members? -
Answer- Amelia, a retired community college professor who used to teach about home
improvement
Blaire apparently hasn't learned her lesson. She paid a $5,000 penalty when MREC
found her guilty of misrepresentation, a $10,000 penalty when she was found guilty of
placing a for sale sign in someone's yard without permission, and now she's committed
three more violations by placing a series of discriminatory ads. What's the maximum
penalty MREC can levy for these new violations? - Answer- $75,000
When ______ in Maryland, you must submit a statement of affiliation from the new
broker and a statement of affiliation termination from the former broker along with your
transfer application. - Answer- Changing brokers
Because Lisa's agent didn't inform her that she needed to pull a permit to build a deck
off the back of her home, she spent $11,000 having it installed, $7,000 having it
removed when the homeowners association discovered she didn't pull a permit, and
another $5,000 in legal fees fighting her agent in court over it. How much money is she
entitled to seek from the Guaranty Fund? - Answer- $18,000
What type of license would Sarah be eligible for if she is new to real estate and does not
yet have a supervising broker lined up? - Answer- Inactive salesperson license
MREC's five-member hearing panel reviewed Rachel's complaint against David, a
supervising broker of a 10-member firm. The panel then forwarded the claim to
Investigative Services, which determined that a hearing was necessary. MREC gave
both Rachel and David 10 days' notice before the hearing, to which they each brought
their attorneys. What's wrong with this scenario? - Answer- Hearing panels have three
members.
Questions with 100% Correct
Answers
Which of these unlicensed assistants may NOT be compensated for their activities in
Maryland? - Answer- Michael, who shows properties when salesperson Janine is out of
town.
In Maryland, how many hours of approved real estate courses must an individual
complete before taking the real estate broker's exam? - Answer- 135
Roger is an unlicensed assistant in Dave's Maryland office. He performs tasks for
several of the firm's licensees. Katherine is a licensed assistant, and she performs tasks
for three of the firm's independent contractor licensees. The firm's broker, Michaela, has
her own licensed assistant. Which of these statements best represents Michaela's
liability for the acts of all these assistants? - Answer- Michaela is responsible for all
licensees and employees associated with the firm.
James is a real estate licensee in Maryland. A complaint has been brought against
James by the Commission on Civil Rights for a fair housing violation. Which of the
following is true? - Answer- James could be sanctioned by both the Commission on Civil
Rights and the real estate commission.
Justine's seller client needs to repair the property's roof, and Justine has recommended
a contractor to her. In addition to the contractor's name and the date that Justine verified
his registration with the Maryland Home Improvement Commission, what else does
Justine need to give her seller client? - Answer- The link to the Maryland Home
Improvement License Search on the DLLR website
In Maryland, the Protection of Homeowners in Foreclosure Act describes the role of and
sets guidelines for the actions of ______. - Answer- Foreclosure consultants
Sam is an independent contractor Maryland licensee working for B & L Realty. Since
Sam is an independent contractor, what supervisory responsibility does Sam's broker
have? - Answer- Sam is considered an employee for licensing law purposes, but he's
still an independent contractor for IRS purposes.
Jerome let his license expire four years ago when his wife had twins and he decided to
become a stay-at-home dad. Now that the twins have started preschool, Jerome would
, like to resume his real estate practice. What does he have to do in order to reinstate his
license? - Answer- His license has been expired too long. He has to start the pre-
licensing process from scratch.
Assuming that the following individuals only carry a real estate license, who is in
violation of the foreclosure consultation parameters set forth in PHIFA? - Answer- Clint's
former buyer client lost her home to foreclosure. When the lender filed a deficiency
judgment against her, Clint advised her how to proceed.
Which of the following statements about earnest money deposits is true? - Answer-
Earnest money must be placed in an escrow account within no more than seven
business days after the formation of the contract of sale.
Which of these parties would be eligible to be one of MREC's consumer members? -
Answer- Amelia, a retired community college professor who used to teach about home
improvement
Blaire apparently hasn't learned her lesson. She paid a $5,000 penalty when MREC
found her guilty of misrepresentation, a $10,000 penalty when she was found guilty of
placing a for sale sign in someone's yard without permission, and now she's committed
three more violations by placing a series of discriminatory ads. What's the maximum
penalty MREC can levy for these new violations? - Answer- $75,000
When ______ in Maryland, you must submit a statement of affiliation from the new
broker and a statement of affiliation termination from the former broker along with your
transfer application. - Answer- Changing brokers
Because Lisa's agent didn't inform her that she needed to pull a permit to build a deck
off the back of her home, she spent $11,000 having it installed, $7,000 having it
removed when the homeowners association discovered she didn't pull a permit, and
another $5,000 in legal fees fighting her agent in court over it. How much money is she
entitled to seek from the Guaranty Fund? - Answer- $18,000
What type of license would Sarah be eligible for if she is new to real estate and does not
yet have a supervising broker lined up? - Answer- Inactive salesperson license
MREC's five-member hearing panel reviewed Rachel's complaint against David, a
supervising broker of a 10-member firm. The panel then forwarded the claim to
Investigative Services, which determined that a hearing was necessary. MREC gave
both Rachel and David 10 days' notice before the hearing, to which they each brought
their attorneys. What's wrong with this scenario? - Answer- Hearing panels have three
members.
